Minnesota Electric Laws and Incentives
State Laws and Regulations
Plug-In Hybrid Electric Vehicle (PHEV) and Neighborhood Electric Vehicle (NEV) Initiatives
All solicitation documents that include the purchase of passenger automobiles issued under the jurisdiction of the Department of Administration after June 30, 2006, must assert the intention of the state of Minnesota to begin purchasing PHEVs and NEVs as soon as they become commercially available. The PHEVs and NEVs must first meet the state's performance specifications and be priced no more than 10% above the price for comparable gasoline-powered vehicles.
A PHEV is defined as a vehicle containing an internal combustion engine that also allows power to be delivered to the drive wheels by a battery-powered electric motor and that meets applicable federal motor vehicle safety standards. When connected to the electrical grid via an electrical outlet the vehicle must be able to recharge its battery. The vehicle must have the ability to travel at least 20 miles, powered substantially by electricity.
A PHEV task force was established to identify barriers to the adoption of PHEVs by state agencies, small and large private fleets, and Minnesota drivers at-large. The PHEV Task Force Final Report was prepared by the Minnesota Pollution Control Agency and presented to the legislature on April 28, 2006. The task force expires on June 30, 2008.
(Reference House File 3718, 2006)
Alternative Fuel Use and Alternative Fuel Vehicle (AFV) Acquisition Requirements
State agencies are required to use alternative fuels (B20-B100 biodiesel blends, compressed or liquefied natural gas, E70-E100 ethanol blends, hydrogen, or liquefied petroleum gas) in state motor vehicles if the clean fuels are reasonably available at similar costs to other fuels and are compatible with the intended use of the motor vehicle. Additionally, state agencies are required to purchase alternative fuel vehicles, which include those capable of being powered by the fuels listed above or motor vehicles powered by electricity or by a combination of electricity and liquid fuel, if such a motor vehicle is reasonably available at similar costs to other vehicles and if the vehicle is capable of carrying out the purpose for which it is purchased. (Reference Minnesota Statutes 16C.135)
State Agency Energy Plan and Vehicle Acquisition Priorities
Using 2005 as a baseline, the state is required to achieve a 25% and 50% reduction in the use of gasoline for state agency owned on-road vehicles by 2010 and 2015, respectively. Additionally, the state is required to achieve a 10% and 25% reduction in the use of petroleum-based diesel fuel for state owned on-road vehicles by 2010 and 2015, respectively. To meet these goals, each state agency will, whenever legally, technically, and economically feasible, ensure that at least 75% of new on-road vehicles purchased use alternative fuels (B20-B100 biodiesel blends, compressed or liquefied natural gas, E70-E100 ethanol blends, hydrogen, or liquefied petroleum gas). Alternatively, each state agency must ensure that at least 75% of purchases of new on-road vehicles have fuel economy ratings that exceed 30 miles per gallon (mpg) for city usage or 35 mpg for highway usage, including but not limited to hybrid electric and hydrogen vehicles. (Reference Executive Order 04-10, 2004, and Minnesota Statutes 16C.137)
State Agency Emissions Reduction Requirement
Each state department must seek to reduce air pollution by implementing two or more of the actions outlined in Executive Order 04-08 whenever legally, technically, and economically feasible, subject to the specific needs of the department and responsible management of agency finances. The actions include the purchase or lease of the most fuel-efficient and least polluting vehicles that meet the operational needs of the state department, and refueling state-operated vehicles with the cleanest fuel available. (Reference Executive Order 04-08, 2004)
Neighborhood Electric Vehicle (NEV) Access to Roadways
A neighborhood electric vehicle (NEV) is defined as an electric vehicle that has four wheels, and has a speed attainable of at least 20 miles per hour (mph) but not more than 25 mph on a paved level surface. An NEV must be titled according to state law and may be operated on public streets and highways if it meets all equipment and vehicle safety requirements in Title 49 of the Code of Federal Regulations, section 571.500, and successor requirements. An NEV may not be operated on a street or highway with a speed limit greater than 35 miles per hour, except to make a direct crossing of that street or highway. A road authority, including the commissioner of transportation, may prohibit or further restrict the operation of NEVs on any street or highway under the road authority's jurisdiction. (Reference Minnesota Statutes 169.01 and 169.224)
